ENTREPRENEURSHIP: NEW VENTURE PLANNING ENTR-5070-001

CARL H. LINDNER College of Business University of Cincinnati

Spring Semester, 2017 Tuesday 6:00-8:50 p.m. (Lindner 219) Instructor: Greg Lechner Phone: 513-313-6143 Office: 106 Lindner Hall Office Hours: After Class & Upon Request Email: lechnegg@uc.edu Web page: http://blackboard.uc.edu Course Prerequisites: LCB ENTR Majors/Minors: This is a required course in your senior year of study.

Core: ACCT 2081, ACCT2082, BANA2081, BANA2082, BA3080, BLAW2080, FIN-3080C, IS2080C, INTB-3080, MGMT-3080, MKTG-2080, OM-3080

Major: ENTR-4005 Electives: Minimum 1-2 of the following completed OR

being taken concurrently: ACCT6076 (ACCT576) (Non-profits acct), BLAW4035 (Legal Aspects), ENTR3071 (Business Startup Experience), ENTR3015 (Digital Entrepreneurship), ENTR4001 (Innovation), ENTR4010 (Family Business), ENTR4025 (International Entrepreneurship), ENTR4060 (Financial Management), ENTR5001 (Corporate Entrepreneurship), ENTR5093 (Special Topics), ENTR5099 (Independent Study), or MKTG-4029 (Direct Marketing)

(Or Faculty Permission) Other LCB + Non-Business Students: Faculty Permission Required Brief Overview: “Entrepreneurship” (ENTR-5070) focuses on the total enterprise creation process: all the functions, activities and actions associated with perceiving, clarifying, and refining opportunities, crafting a business plan, and creating organizations to pursue your entrepreneurial objectives. This course helps students develop the skills and knowledge that will enable them to be effective entrepreneurs and/or members of entrepreneurial teams. While our primary focus will be on independent ventures, the knowledge, skills, and capabilities gained here should be relevant to those involved in creating new ventures within the context of established corporations, public or private (although corporate venturing will not be our primary focus as these are addressed in ENTR4025 (Intl ENTR) and ENTR5001 (Corp ENTR).

Selected topics include: The entrepreneurial process; identifying and cultivating ideas; the business planning process; identifying and raising capital; implementing the plan; managing growth; and harvest options. Our focus is built upon the principles of strategic management. It takes the view of the general manager, uses concepts from many of your management and other courses, and considers the total enterprise. In addition to the above, you will learn:

1. How to identify and evaluate new venture opportunities. 2. To understand what is required for a business plan. 3. How to gather the resources necessary to implement such a plan. 4. The art and science of managing and growing the business. 5. The importance of considering how to harvest the gains.

Texts: Tom Rath. StrengthsFinders 2.0, Gallup Hisrich, Peters, & Shepherd, 2017. Entrepreneurship,10th Edition, Boston, MA: Irwin McGraw-

Hill. (ISBN 978-0-07-811284-3) Spinelli, & Adams. 2016. New Venture Creation: Entrepreneurship for the 21st Century. 10th

Edition, Boston, MA: Irwin McGraw-Hill. Timmons, Zacharakis, & Spinelli, 2004. Business Plans that Work: A Guide for Small Business,

New York, NY: McGraw-Hill. Handouts and electronic materials as assigned. Preparing for Class: Cases, articles and textbook readings assigned for a scheduled class period are to be carefully read and studied BEFORE coming to class on that day. In some cases you will required to submit a written analysis of a case reading or article. A subsequent reading after the in-class discussion often helps make the learning more permanent, and makes writing your business plan easier. Hisrich et al., is the primary reading source. The PowerPoint presentations used in class will be available on Blackboard under Course Documents. Students are encouraged to download these for use in taking notes during class. Role of Students in Class: Your questions/comments/input during the class lectures are not only welcome but, will be a significant factor in your final grade!! Classes will start and end on time, so please be here at the start of class. Do not leave early unless you become ill. If you have an appointment such that you need to arrive late or leave early, please inform the instructor before class.

Academic Dishonesty: All academic programs at the Lindner College of Business now apply a “Two Strikes Policy” regarding Academic Integrity. Any student who has been found responsible for two cases of academic misconduct may be dismissed from the College. The “Two Strikes Policy” supplements the UC Student Code of Conduct (see: http://www.uc.edu/conduct/Code_of_Conduct.html). All cases of academic misconduct (e.g., cheating, plagiarism, falsification) will be formally reported by faculty. Students will be afforded due process for allegations, as outlined in the policy. If a student is found guilty of academic misconduct in two instances, the student may be dismissed from the Lindner College of Business. Ethics Policy: All business concepts/plans/presentations must be based on legitimate business enterprises that do not involve breaking the law as part of the business model. For example, plans that involve music/movie/video piracy, black market distribution of prescription medications, among others are unacceptable. Plans involving sin industries are also prohibited. These include alcohol (e.g., production, distribution, bars), tobacco, pornography, strip clubs, and gambling, among others. Inclement Weather: We will follow the University's Inclement Weather Policy. Listen to your radio for official University announcements. If the University is open, we will have class. Should a class be cancelled due to weather, we will reschedule it as necessary. Late Assignments: Late assignments will not be accepted and will receive a grade of 0. No makeup assignments will be provided. Grading Structure:

Participation/Case Analysis (Individual) 200 points Written Business Plan Part A (Team) 200 points Elevator Pitch (Team) 50 points Written Business Plan Part B (Team) 300 points Business Plan Peer Evaluation (Individual) 100 points Business Plan Presentation (Team) 150 points 1,000 points Grade Determination: There are 1000 possible points that can be accumulated. You are guaranteed:

A if you acquire 930 points, A- if you acquire 900-929 points, B+ if you acquire 870-899points,

B if you acquire 830-869 points, B- if you acquire 800-829 points,

C+ if you acquire 770-799 points, C if you acquire 730-769 points, C- if you acquire 700-729 points, D+ if you acquire 670-699 points,

D if you acquire 600-699 points, F (FAILING GRADE) if you acquire <600 points. Reviewing your Grades

1. Grades are not curved during or at the end of the semester or in the computation of final grades. A student that earns 829 points will receive a B-. Missing a grade (e.g., B) by “just 3 points” is still missing a grade. The course is designed to provide you with several opportunities to demonstrate your effort and learning. Make-ups will not be granted.

2. Graded work may be appealed in WRITING. 3. Your individual/team grades will not be discussed in the classroom during class time. 4. Questions regarding your individual/team results will be answered during office hours.

You will always be able to view your scores on Blackboard, once they are posted. Teams While much of your grade is based on your individual results, students should be aware that a significant portion of their grade is linked to team performance. As in business, choosing the wrong business associates can be very costly. Teams can be as large as 5 and should not be less than 3. International students and students from outside the CARL H. LINDNER College of Business (LCB) are welcome in this course and will be integrated with LCB students. A portion of your business plan grade will include a structured peer evaluation of your individual performance. If your peers appraise your contributions as inferior (i.e., <B) you are likely to receive only a portion of ALL of the team-based grades throughout the course (Note the components marked as (Team) above). Mentors & Other Opportunities In addition to faculty support, each team will be provided access to external mentors including successful entrepreneurs, inventors, consultants, or executives through the CEC’s mentor network (http://business.uc.edu/centers/entrepreneurship/volunteer.html). You should plan to meet with your mentors both in and outside of class time, in-person, online, and/or by phone. Take note of the dates in the syllabus schedule below as a starting point. Making full use of your mentor(s) is key to garnering support for and accelerating the success of your new business. They will be active in judging the Elevator Pitch Competition, and the UG New Venture Competition (http://business.uc.edu/centers/entrepreneurship/students/competitions/uc-new-venture-competition.html). These in-class competitions prepare you for future opportunities to win prize money (http://business.uc.edu/centers/entrepreneurship/students/competitions/elevator-pitch.html), as well as launch funds and incubator support (http://business.uc.edu/centers/entrepreneurship/students/bearcat-bridge-fund.html).

Participation: You are expected to attend every one of the classes. If it will be necessary for you to miss more than one class, I strongly advise you to take this class another semester. Persons with significant absences may be administratively dropped from the class. Excessive tardiness or early departures will be treated as absences. Please notify the professor on the first day of classes if the class schedule conflicts with your religious holidays so that suitable arrangements can be made to respect these holidays. Participation will be graded on a regular basis. A score of 1 indicates the student was present, but made a limited or no contribution to the class discussion. A score of 3 is a typical score and reveals the student made a satisfactory contribution. A score of 5 is reserved for students whose contribution to the class is high in terms of both quality and quantity of comments. Written in-class exercises administered by the instructor may substitute for class discussion from time to time. Elevator Pitch: As part of this course, your team will compete in an in-class elevator pitch competition that helps to prepare you to pitch to prospective investors. This assignment is graded /50 points toward your final grade. A detailed rubric will be available online. Written Business Plan: The business plan is the collective effort of your team. It is a document you should be able to present to potential customers, suppliers, the investment community, and others to obtain the resources you need to succeed in launching your new venture. Detailed rubrics will be posted online regarding this assignment. It will be based on those used by professional associations in evaluating new business plans. Parts A (200 points) and B (300 points) of this assignment collectively constitute the largest component of the course. Business Plan Presentation: This component of the course is worth 150 points and is designed to demonstrate your ability to tell your story and “wow” a group of potential investors. In preparation for your business plan presentation each team will compete in an elevator pitch competition. It is key that all team members play a significant role in both the elevator pitch competition and in the final presentation. One way to achieve this is to assign each team member a functional role in the new business (e.g., V.P. Finance, CEO, etc.). Presentations will last 10-15 minutes with extensive Q&A following each. Students should be prepared to respond to shortcomings in their new venture plan. Recommendations for success and a rubric will be posted on blackboard. Contribution to Future Success: At the discretion of the instructor, assignments completed in this course may be shared with students in future class sessions to improve their ability to write high quality plans and compete successfully in competitions.

Key Administrative Dates: First Class Meeting: Tues, Jan 10 Holidays: Spring Break - Tues, Mar 14 Last Class Meeting: Tues, April18 Tentative Course Outline:

Week Class Tentative Schedule and Topics Assignments 1 Tue-10-

Jan

Introductions Course Outline and Expectations

N/A

Discuss Syllabus Trends Impacting Entrepreneurship PPT 2 Tue-17-

Jan

Entrepreneurship PPT

Come to Class with a new business idea to share

Techniques to Identify New Business Ideas PPT

Order StrengthsFinders 2.0

Team Brainstorming – New Business Ideas/Concepts

3 Tue-24-Jan

Creativity and Ideation PPT Complete StrengthsFinders 2.0 Assessment

Review New Venture Idea Generator (NVIG)

Complete Student Profile Survey (Google Sheets)

Team Roster Due by EOC Read Chapter 1 & 2

4 Tue-31-Jan

Guest Speaker, Entrepreneur -Ryan Eder of Include Fitness,

Read Chapters 3 & 4

Case: To Be Assigned

Prepare Case for TODAY’s Class

Team-based Discussions of NVIG Work

5 Tue-7-Feb

Teams Introduce Concepts to Class

Personal Strengths Assessment Due

Mentor Introductions and Panel Read Chapter 5 & 6 Project Planning: Delegation & Schedule

Business Plans.PPT Business Plan Critiques

6 Tue-14-Feb

Review Business Plan Part A (Marketing Plan Assignment) Marketing Planning for New Ventures.PPT

Read Chapter 7 & 8 Submit BPlan Critique Marketing Plan

Case: To Be Assigned Prepare Case for TODAY’s Class

Marketing Plan Q&A Mentor Meeting re. Business Plan Part A Progress Marketing Planning for New Ventures.PPT Data Sources & Estimation Techniques Market Segmentation Discussion

7 Tue-21-Feb

Legal Aspects of Entrepreneurship.PPT Read Chapter 9 & 10 Prepare Case for TODAY’s Class

Guest Speaker: Rob Lesan

8 Tue-28-

Feb

Review Business Plan Part B Financing the New Venture

Business Plan Part A (Marketing Plan Assignment) Due

Case: New Venture Plan Example (TBA)

Business Plan Part B Assigned

Read Chapter 13 & 14

9 Tue-7-Mar

Financial Planning

Case: To be Assigned

Prepare Case for TODAY’s Class

Guest Speaker 10 Tue-14-

Mar

NO CLASS – SPRING BREAK

Read Chapter 15 & 16

11 Tue-21-Mar

Financing the New Venture Read Chapters 17

Elevator Pitches. PPT Evaluate: Elevator Pitch Examples

New Venture Business Plan Presentations Evaluate: Presentation Examples

12 Tue-28-Mar

ELEVATOR PITCH COMPETITION (Mentor Feedback)

COME PREPARED TO PITCH!

Franchising Exit Strategies

13 Tue-4-Apr

End of Semester Survey

New Venture Planning

14 Tue-11-Apr

New Venture Planning Workshop & Mentor Meetings

15 Tue-18-Apr

New Venture Business Plan Presentations (Mentor Q&A)

COME PREPARED TO PRESENT!

FINAL BUSINESS PLANS DUE

Modifications: The instructor reserves the right to change this syllabus. Any changes to this syllabus, due dates, course requirements or grading requirements will be made as far in advance as possible. All students will be held responsible for completion of all course components. Check the course web site on blackboard periodically for updates and information.

SUGGESTED READING/REFERENCE Daily/Weekly/Monthly The Wall Street Journal

Business Week Periodicals Entrepreneurship: Theory & Practice (Formerly American Journal of Small Business [HD 2346.U5A75]) Inc (HD 2346.U5I55) Journal of Business Venturing Journal of Small Business Management (HD 69.S6S67) Strategic Entrepreneurship Journal References (Ask at reference desk for most recent issue or if you can't find an item you want.) Almanac of Business & Industrial Financial Ratios Troy, Leo (HF 5681.R25) Annual Statement Studies Robert Morris Associates (HF 5681.B2R6) Barometer of Small Business Accounting Corporation of America Financial Studies of the Small Business (HD 2346.U5F55) Industry Norms & Key Business Ratios Dun & Bradstreet, Inc. (HF 568l.R25I5) Simmons 1987 Study of Media & Markets (HF54l5.3.S54 1987) Simmons Market Research Bureau Small Business Bibliography U.S. Small Business Administration (Z7164.C81U718) Statistics of Income--Sole Proprietorship Returns U.S. Treasury U.S. Industrial Outlook U.S. Dept. of Commerce (HC 106.5 A265) Industry Studies, Surveys, Reports, and Statistics:

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